[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/a/jre/issued/v8n11993p107-116.html
   My bibliography  Save this article

The Determinants of Shopping Center Rents

Author

Abstract
This paper presents the first empirical examination of the determinants of inter-center variations in shopping center rents. We use weighted least squares estimation to test the relationship between market rents for shopping centers and various independent variables. The results indicate that rent levels respond to various factors as expected: "customer drawing power," architectural design, location, and general economic conditions explain a significant proportion of the variation in rent levels.

Suggested Citation

  • C.F. Sirmans & Krisandra A. Guidry, 1993. "The Determinants of Shopping Center Rents," Journal of Real Estate Research, American Real Estate Society, vol. 8(1), pages 107-116.
    • Handle: RePEc:jre:issued:v:8:n:1:1993:p:107-116
    as

    Download full text from publisher

    File URL: http://pages.jh.edu/jrer/papers/pdf/past/vol08n01/v08p107.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. John F. Kain, 1989. "The Economics of Architecture and Urban Design: Some Preliminary Findings," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 17(2), pages 261-266, June.
    2. G. Stacy Sirmans & C.F. Sirmans & John D. Benjamin, 1989. "Determining Apartment Rent: The Value of Amenities, Services, and External Factors," Journal of Real Estate Research, American Real Estate Society, vol. 4(2), pages 33-44.
    3. Eaton, B Curtis & Lipsey, Richard G, 1982. "An Economic Theory of Central Places," Economic Journal, Royal Economic Society, vol. 92(365), pages 56-72, March.
    4. Kerry D. Vandell & Jonathan S. Lane, 1989. "The Economics of Architecture and Urban Design: Some Preliminary Findings," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 17(2), pages 235-260, June.
    5. White, Halbert, 1980. "A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity," Econometrica, Econometric Society, vol. 48(4), pages 817-838, May.
    6. John D. Benjamin & James D. Shilling & C. F. Sirmans, 1992. "Security Deposits, Adverse Selection and Office Leases," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 20(2), pages 259-272, June.
    7. John D. Benjamin & Glenn W. Boyle & C. F. Sirmans, 1990. "Retail Leasing: The Determinants of Shopping Center Rents," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 18(3), pages 302-312, September.
    8. John L. Glascock & Shirin Jahanian & C. F. Sirmans, 1990. "An Analysis of Office Market Rents: Some Empirical Evidence," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 18(1), pages 105-119, March.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ming-Long Lee & R. Kelley Pace, 2005. "Spatial Distribution of Retail Sales," The Journal of Real Estate Finance and Economics, Springer, vol. 31(1), pages 53-69, August.
    2. John Clapp & Katsiaryna Bardos & Tingyu Zhou, 2014. "Expansions and Contractions of Major US Shopping Centers," The Journal of Real Estate Finance and Economics, Springer, vol. 48(1), pages 16-56, January.
    3. William Hardin III & Marvin Wolverton, 2000. "Micro-Market Determinants of Neighborhood Center Rental Rates," Journal of Real Estate Research, Taylor & Francis Journals, vol. 20(3), pages 299-322, January.
    4. Liu, Xuan & Tong, De & Huang, Jiangming & Zheng, Wenfeng & Kong, Minghui & Zhou, Guohui, 2022. "What matters in the e-commerce era? Modelling and mapping shop rents in Guangzhou, China," Land Use Policy, Elsevier, vol. 123(C).
    5. Nur A Khairunnisa & Ahmad Gamal, 2023. "Analyzing the impact of three-dimensional visibility value on shopping center retail unit rental prices," Environment and Planning B, , vol. 50(3), pages 621-641, March.
    6. Peter F. Cowell & Henry J. Munneke, 1998. "Percentage Leases and the Advantages of Regional Malls," Journal of Real Estate Research, American Real Estate Society, vol. 15(3), pages 239-252.
    7. Peter Chinloy & James Musumeci, 1994. "Shopping Center Financing: Pricing Loan Default Risk," Journal of Real Estate Research, American Real Estate Society, vol. 9(1), pages 49-64.
    8. Charles C. Carter & Kerry D. Vandell, 2005. "Store Location in Shopping Centers: Theory & Estimates," Journal of Real Estate Research, American Real Estate Society, vol. 27(3), pages 237-266.
    9. Fuerst, Franz, 2007. "Office Rent Determinants: A Hedonic Panel Analysis," MPRA Paper 11445, University Library of Munich, Germany.
    10. Fuerst, Franz & McAllister, Patrick, 2008. "Green Noise or Green Value? Measuring the Price Effects of Environmental Certification in Commercial Buildings," MPRA Paper 11446, University Library of Munich, Germany, revised Sep 2008.
    11. Marcus Gerbich, 1998. "Shopping Center Rentals: An Empirical Analysis of the Retail Tenant Mix," Journal of Real Estate Research, American Real Estate Society, vol. 15(3), pages 283-296.
    12. repec:fgv:eaespw:01 is not listed on IDEAS
    13. Maral Taşcılar & Kerem Yavuz Arslanlı, 2022. "Forecasting commercial real estate indicators under COVID-19 by adopting human activity using social big data," Asia-Pacific Journal of Regional Science, Springer, vol. 6(3), pages 1111-1132, October.
    14. Catherine Jackson, 2002. "Classifying Local Retail Property Markets on the Basis of Rental Growth Rates," Urban Studies, Urban Studies Journal Limited, vol. 39(8), pages 1417-1438, July.
    15. William Hardin & Marvin Wolverton & Jon Carr, 2002. "An Empirical Analysis of Community Center Rents," Journal of Real Estate Research, Taylor & Francis Journals, vol. 23(1-2), pages 163-178, January.
    16. Hermansson, Cecilia & Lundgren, Berndt, 2022. "What factors matter in rent negotiations? Differences in views between landlords and retail trade tenants," Working Paper Series 22/9, Royal Institute of Technology, Department of Real Estate and Construction Management & Banking and Finance.
    17. Sotiris Tsolacos, 1995. "An Econometric Model of Retail Rents in the United Kingdom," Journal of Real Estate Research, American Real Estate Society, vol. 10(5), pages 519-530.
    18. Yan Liu & Linchuan Yang & Kwong Wing Chau, 2020. "Impacts of Tourism Demand on Retail Property Prices in a Shopping Destination," Sustainability, MDPI, vol. 12(4), pages 1-14, February.
    19. Song Zhang & Mark Duijn & Arno J. Vlist, 2023. "Tenant Mix and Retail Rents in High Street Shopping Districts," The Journal of Real Estate Finance and Economics, Springer, vol. 67(1), pages 72-107, July.
    20. William G. Hardin III & Jon Carr, 2006. "Disaggregating Neighborhood and Community Center Property Types," Journal of Real Estate Research, American Real Estate Society, vol. 28(2), pages 167-192.
    21. Tony Shun-TeYuo & Colin Lizieri & Phillip McCann & Neil Crosby, 2011. "Rental Values in UK Shopping Malls," Urban Studies, Urban Studies Journal Limited, vol. 48(8), pages 1667-1679, June.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Fuerst, Franz & McAllister, Patrick, 2008. "Green Noise or Green Value? Measuring the Price Effects of Environmental Certification in Commercial Buildings," MPRA Paper 11446, University Library of Munich, Germany, revised Sep 2008.
    2. Barrett A. Slade, 2000. "Office Rent Determinants during Market Decline and Recovery," Journal of Real Estate Research, American Real Estate Society, vol. 20(3), pages 357-380.
    3. Francois Des Rosiers & Marius Theriault & Catherine Lavoie, 2009. "Retail Concentration and Shopping Center Rents - A Comparison of Two Cities," Journal of Real Estate Research, American Real Estate Society, vol. 31(2), pages 165-208.
    4. repec:fgv:eaespw:01 is not listed on IDEAS
    5. Francois Des Rosiers & Marius Theriault & Laurent Menetrier, 2005. "Spatial Versus Non-Spatial Determinants of Shopping Center Rents: Modeling Location and Neighborhood-Related Factors," Journal of Real Estate Research, American Real Estate Society, vol. 27(3), pages 293-320.
    6. Brent W. Ambrose, 1990. "An Analysis of the Factors Affecting Light Industrial Property Valuation," Journal of Real Estate Research, American Real Estate Society, vol. 5(3), pages 355-370.
    7. Dean H. Gatzlaff & G. Stacy Sirmans & Barry A. Diskin, 1994. "The Effect of Anchor Tenant Loss on Shopping Center Rents," Journal of Real Estate Research, American Real Estate Society, vol. 9(1), pages 99-110.
    8. Beth Wilson & James Frew, 2007. "Apartment Rents and Locations in Portland, Oregon: 1992 – 2002," Journal of Real Estate Research, American Real Estate Society, vol. 29(2), pages 201-218.
    9. Eckert, Andrew & He, Zhen & West, Douglas S., 2015. "An empirical analysis of tenant location patterns near department stores in planned regional shopping centers," Journal of Retailing and Consumer Services, Elsevier, vol. 22(C), pages 61-70.
    10. Allen C. Goodman & Brent C Smith, 2023. "Medical Service Quality and Office Rent Premiums: Reputation Spillovers," The Journal of Real Estate Finance and Economics, Springer, vol. 66(3), pages 680-708, April.
    11. Eckert, Andrew & He, Zhen & West, Douglas S., 2013. "An empirical examination of clustering and dispersion within Canadian shopping centers," Journal of Retailing and Consumer Services, Elsevier, vol. 20(6), pages 625-633.
    12. Robin A. Howarth & Emil E. Malizia, 1998. "Office Market Analysis: Improving Best-Practice Techniques," Journal of Real Estate Research, American Real Estate Society, vol. 16(1), pages 15-34.
    13. John L. Glascock & Minbo Kim & C.F. Sirmans, 1993. "An Analysis of Office Market Rents: Parameter Constancy and Unobservable Variables," Journal of Real Estate Research, American Real Estate Society, vol. 8(4), pages 625-638.
    14. Barker, David, 2003. "Length of residence discounts, turnover, and demand elasticity. Should long-term tenants pay less than new tenants?," Journal of Housing Economics, Elsevier, vol. 12(1), pages 1-11, March.
    15. James D. Shilling & Kerry D. Vandell & Ruslan Koesman & Zhenguo Lin, 2006. "How Tax Credits Have Affected the Rehabilitation of the Boston Office Market," Journal of Real Estate Research, American Real Estate Society, vol. 28(4), pages 321-348.
    16. Franz Fuerst & Patrick McAllister & Claudia Murray, 2009. "Designer Buildings: An Evaluation of the Price Impacts of Signature Architects," Real Estate & Planning Working Papers rep-wp2009-10, Henley Business School, University of Reading.
    17. Edwin Chan & Grace Lee, 2008. "Critical factors for improving social sustainability of urban renewal projects," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 85(2), pages 243-256, January.
    18. John L. Glascock & C. F. Sirmans & Geoffrey K. Turnbull, 1993. "Owner Tenancy as Credible Commitment under Uncertainty," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 21(1), pages 69-82, March.
    19. Tony Shun-TeYuo & Colin Lizieri & Phillip McCann & Neil Crosby, 2011. "Rental Values in UK Shopping Malls," Urban Studies, Urban Studies Journal Limited, vol. 48(8), pages 1667-1679, June.
    20. Piet Eichholtz & Nils Kok & John M. Quigley, 2010. "Doing Well by Doing Good? Green Office Buildings," American Economic Review, American Economic Association, vol. 100(5), pages 2492-2509, December.
    21. Ingrid Nappi‐Choulet Pr. & Tristan‐Pierre Maury, 2009. "A Spatiotemporal Autoregressive Price Index for the Paris Office Property Market," Real Estate Economics, American Real Estate and Urban Economics Association, vol. 37(2), pages 305-340, June.

    More about this item

    JEL classification:

    • L85 - Industrial Organization - - Industry Studies: Services - - - Real Estate Services

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:jre:issued:v:8:n:1:1993:p:107-116. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: JRER Graduate Assistant/Webmaster (email available below). General contact details of provider: http://www.aresnet.org/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.